Millions of BOOMERS Prefer Rent

The premise has been that rental demand is driven by millennials who rent for job location flexibility, lack cash for a down payment, prefer urban locations but rent for square footage single-family detached. And Boomers insist on the equity creation of home ownership is dispelled by a Freddie Mac survey that reveals over half of […]

Investors View Macro Political Hiccups

Today the 56 million people of the UK vote on Brexit, whether to remain in the EU, with significant ramifications for their economy and for the economies of the EU member countries and the US and Asian economies. Only 4% of US exports are shipped to the UK but the instability of the financial markets […]

Existing Home Sales Set 9-year Record

National Association of Realtors reported 6/22/16) sales of existing homers rose to the highest level in more than nine years in May due to signs of rising demand with steady job creation and low interest rates. The new seasonally adjusted sales rate is 5.53 million. The national median sale price of previously owned homes was […]

NYC, SF Rents Drop: Implications

Equity Residential, a large builder of Class A apartments in major cities lowered its guidance this month for revenue because of lower rents in New York City and San Francisco. At the same time the National Association of Home Builders Index fell for the Northeast for the first time in four years. These markets have […]

Migration Drives Home Sales in Mid-MSAs

Redfin reports that in one-third of the markets it tracks, the mid-size markets specifically, sales have increased by double digits versus the national average of sales increase of 7%. Inventory levels have fallen by about the same amount so a whipsaw effect that has driven days under contract down to 42 days, the shortest period […]

May Homes Sales Pace Record

Redfin reports that the pace of Home sales for May 2016 was the fastest on record. The average home in the US went under contract in 42 days, seven days faster than May 2015 and the shortest time since Redfin started tracking the duration in 2009. The pendulum has swung from five years of of […]

Rents Rising for Investors

Trulia reports that rents from June to June 2016 have fallen slightly in a pull back from the steady rising rents of the past six years in the top 25 metro markets. Affordable rental listings are in the steep decline so rentals below $1200 are in such sketchy areas to be a “no fly zone” […]

Higher Rents Still Affordable

The headlines of double digit rent increases in California and Miami tend to “fly over” the rest of the US where rents are 4-5% higher in some markets in line with low inflation for fuel, food and other living expenses so are absorbed by Tenants without impacting the demand for home purchases. In fact, a […]

Rent or Buy Your Home

Historically rental houses were dilapidated, yards were unkept, pets destroyed the interior and exterior of the homes where you could never get the fleas and urine removed, the carpets sanitized and the bathrooms free of fungus. That profile has changed abruptly as Invitation Homes, Starwood/Waypointe, Colony, American Homes 4 Rent and others have over-rehabbed to […]